Suiza Will Buy Dean Foods
In Deal Valued at $1.5 Billion

a Wall Street Journal Staff Reporter

Updated April 6, 2001 12:01 a.m. ET

DALLAS -- In a proposed combination of the nation's two largest dairies, Suiza Foods Corp. agreed to acquire Dean Foods Co. for $1.5 billion in stock and cash, plus the assumption of $1 billion in debt.

The acquisition would create a behemoth in an industry traditionally populated with local dairies. The new company, to be based in the Suiza home of Dallas but to be called Dean Foods, would control more than 30% of the $25...